NOOSA HOLIDAY PARKS - FEES AND CHARGES (Referred from Services & Organisation Committee Dated 9 December 2025) · Report

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GENERAL COMMITTEE MEETING                                                       15 DECEMBER 2025




3. Industry Trends - Occupancy Data

Queensland-wide occupancy data is a key input in developing fees and charges for forward booking
periods at Noosa Holiday Parks. It provides valuable insights into consumer behaviour, market
demand and the relative performance of the region within the broader southeast Queensland holiday
park and campground market.

Incorporating industry occupancy trends into pricing decisions is particularly important in the current
environment, given rising operational costs, the need to achieve commercial return targets that
support Council's general rate revenue, accessibility to residents and visitors and broader economic
pressures. Proposed fee increases should carefully balance the objective of revenue growth with
sensitivity to market conditions, particularly when occupancy is trending downward.

Occupancy data used in this analysis is sourced from the Caravanning Industry Association of
Australia, comparing year-on-year occupancy performance in Queensland regions against the same
month in the previous year. Key observations include:

•   The Sunshine Coast region (which includes Noosa) has underperformed through most of 2025,
    recording downward year-on-year occupancy from February 2025 to September 2025.
•   July 2025 was the only month in 2025 where Sunshine Coast occupancy levels were comparable
    to the previous year.
•   In 2024, the Sunshine Coast occupancy also underperformed relative to 2023, with year-on-year
    declines recorded from August to December 2024.
Internal nights-sold data for the Noosa Holiday Parks program aligns with these broader regional
trends with year-on-year comparisons indicate a softening in demand throughout 2025. These trends
highlight the importance of adopting a strategic, balanced approach to pricing for Noosa Holiday
Parks.

4. Benchmarking

Benchmarking has been undertaken against fees and charges at comparable government and
privately-owned camping and caravan parks with the Noosa Council, Fraser Coast Council, Gympie
Regional Council, Sunshine Coast Council, City of Gold Coast and Tweed Shire Council regions.
This process ensures that the Noosa Holiday Park fees and charges remain consistent with regional
and industry pricing while continuing to meet competitive neutrality requirements.

Previous benchmarking indicated that Council was well positioned relative to comparable regions
and sites, however subsequent and in some cases substantial increases by other parks and regions
have widened the pricing gap, necessitating an increase to maintain competitive neutrality.

6. Summary

While increases in fees and charges are required to maintain competitive neutrality and respond to
increasing operational costs, Council should also remain sensitive to the broader industry context.

The proposed schedule of fees seeks to strike an appropriate balance between:

•   maintaining competitive neutrality
•   addressing rising operational costs
•   sustaining and improving financial performance

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GENERAL COMMITTEE MEETING                                                    15 DECEMBER 2025


•   remaining competitively priced within a softening market
•   ensuring the ongoing accessibility and attractiveness of the Noosa Holiday Parks portfolio
•   supporting the long-term viability of the program

Overall, the proposed fees and charges represent a market-aligned, financially responsible approach
that supports the ongoing sustainability of the Noosa Holiday Parks program while ensuring the
portfolio remains competitive and accessible.

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GENERAL COMMITTEE MEETING                                                          15 DECEMBER 2025




Link to Corporate Plan
Theme No. 5 - Excellence
•     This theme focuses on customer experience, financial sustainability, innovation and technology,
      levels of service, governance, our employees and volunteers, funding streams and asset
      management practices.
•     Continue to deliver a financially sustainable Council that has the resources now and into the
      future to achieve its strategic objectives.
•     Embrace technology and innovative practices to support the provision of contemporary, efficient
      and effective levels of service for Council operations.
•     Increased share of operating revenue to be generated from sources other than rates and
      charges.




Previous Council Consideration
Nil


Finance
•     Operational surplus from the Noosa Holiday Parks offset general rate increases and also
      contribute to Council meeting its financial sustainability policy requirements.
•     Council business activities, such as waste management and holiday parks, are required to
      operate on a full cost pricing (FCP) basis to ensure the competitive neutrality principle is complied
      with. Advance fees have been set with consideration of likely inflation movements in materials
      and services and resulting FCP implications.


Risk & Opportunities
Risks:
•     Failure to apply the competition neutrality principle through full cost pricing would constitute a
      breach of the Local Government Act 2009 and may also result in competitive neutrality
      complaints to the Queensland Competition Authority.

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GENERAL COMMITTEE MEETING                                                         15 DECEMBER 2025


•     Failure to extend the fees and charges period could lead to a reduction in forward bookings,
      negatively impacting Council's financial returns its ability to plan and budge effectively.
Opportunities:
•     Setting fees and charges ensures ongoing full cost recovery for the Noosa Holiday Parks
      business activity, supporting the financial sustainability and commercial performance of the
      portfolio.


Human Rights
Human Rights Compatibility Statement
In developing this Report, the subject matter has been considered in accordance with the
requirements of the Queensland Human Rights Act 2019. It is considered that the subject matter
does not conflict with any human rights and supports a human rights approach to decision making
by Council. Council representatives will endeavour to act and make decisions under this report in a
manner that is compatible with human rights. This report should be read in conjunction with
Council’s Human Rights Policy.


Consultation
External Consultation - Community & Stakeholder
Nil


Internal Consultation
Departments consulted:
      Office of the CEO, Mayor &         Community Services               Corporate Services
              Councillors
       Mayor & Councillors             Director                        Director
       Chief Executive Officer         Community Development       x   Financial Services
       Executive Officers              Sport & Active Lifestyles       Fleet
       Community Engagement            Arts & Culture                  Revenue Services
       People & Culture                Community Connection            ICT
       Governance                      Customer Experience             Procurement

                                                                       Commercial Property

       Strategy & Environment          Development & Regulation        Infrastructure Services
       Director                        Director                        Director
       Strategy & Sustainability       Development Assessment          Infrastructure Planning, Design
                                                                       and Delivery
       Economic Development        &   Local Laws                      Civil and Asset operations
       Destination Management
       Environmental Services          Environmental Health            Waste
       Innovation & Digital Hub        Building & Plumbing             Building & Facilities
                                       Property / Permits              Disaster Management